The USD declined further in Asia-Pacific trade on Monday amidst a light news session.

All major FX is higher against the dollar, including the JPY. USD/JPY traded higher initially, to around 150.00 before dropping a big figure. Its just below 149.00 as I post.

News flow for the majors was light. From Argentina we had the news that Javier Milei won the Presidential Election. One of his key economic policies is to replace the peso as the local currency with the USD. Bitcoin jumped on the news, the back-fitted (naturally) narratives I heard to explain this was because Milei loves freedom. Or something.

From the People’s Bank of China today were the Loan Prime Rate (LPR) settings. Both one- and five-year remained unchanged. The Bank also made a significant change to the reference rate for USD/CNY, its biggest drop since September 12 to its lowest (i.e. strongest for the yuan) since August 11.AUD caught an extra bid from the better yuan, AUD/USD hitting a 3-month high. NZD/USD hit a 1-month high.

usdyen wrap chart 20 November 2023